Guest commentary: A new term for Obama, a new president for China

4:07 PM, November 8, 2012

Chinese President Hu Jintao, second from left, former Chinese President Jiang Zemin, second from right, Chinese Premier Wen Jiabao, right, and National People's Congress Chairman, Wu Bangguo, left, bow in silence in remembrance of late leaders during the opening session of the 18th Communist Party Congress held at the Great Hall of the People in Beijing, China, Thursday, Nov. 8, 2012. Preparing to hand over power after a decade in office, China's President Hu Jintao called Thursday for sterner measures to combat official corruption that has stoked public anger while urging the Communist Party to maintain firm political control. (AP Photo/Lee Jin-man) / AP

By Tom Watkins

Detroit Free Press guest writer

Tom Watkins

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Now that we’ve elected our president, international attention turns to the China where Communist Party leaders met today to solidify their selection of a new president

Ever since the American Empress of China ship set sail for China’s shores in 1784, the United States and China have remained connected. Since the very beginning, our trade policies have produced both benefits and strains to that relationship.

Since shaking off the shackles of the Maoist era (1949 – 1976) and opening itself up to the world once more, the Chinese have embraced their form of ‘Chinese capitalism’ whose characteristics have helped the country grow into economic juggernaut. They are also fast becoming a military power. During the past several decades our economies have become inextricably linked as an outgrowth of this new openness and we have come to learn that what happens in China does not always stay in China.

Americans have benefited from low-priced consumer goods made in China even as the U.S. government benefited from China buying our debt and U.S.-based companies became richer due to lower wages in Chinese production facilities.

Yet the strain remains. In addition to continued offshoring of American jobs to foreign countries like China, the Great Recession and the continued downsizing of American industry has compounded the situation, resulting in record unemployment of American workers. “Shipped jobs to China” fits neatly on a bumper sticker and works far better than attempting to explain global economics to ordinary Americans in the heat of a presidential campaign.

Americans have become accustomed to buying goods at the cheaper ‘made in China’ price while we desire to earn an American style high wage. In the future, our leaders are going to have to find ways to do what my mom always told me was 'impossible’: “Have your cake and eat it too.”

In this year’s U.S. presidential election, once again became a vote-seeking magnet and boogieman. American Presidential candidates have often used China as a battering ram during the election only to moderate their position once in office and confronted with the reality of a strong Chinese economy, rising military power, and an internationally engaged partner/competitor.

It is imperative that China and the U.S. develop a cooperative and collaborative relationship based on mutual respect and trust to address existing and emerging international issues.

In his new book, Tangled Titans, editor and China expert David Shambaugh, offers a comprehensive assessment of the complex relationships between the two countries. The book makes the point that “never in modern history have two dominant world powers been so deeply interconnected, yet so wary and mutually distrustful of one another.”

Clearly friction remains between our two nations on issues as diverse as human rights, Tibet, North Korea, the Middle East, currency manipulation, cyber security and theft of intellectual property. These issues need to be managed. Our respective national leaders must meet to set in place a process whereby we can assure that our international relationship continues – one where both the established and the rising power can coexist in ways that benefit each other and the world.

In Michigan, Governor Snyder has put forth a sensible China policy for the state. He is seeking ways to position Michigan as a good place to invest while increasing Michigan exports to China. The Governor is building on the knowledge that the Chinese plan to invest over one trillion dollars around the globe.

With wise leadership at the state and national level, we might assure that China’s rise does not come at our demise. It is unthinkable to consider an alternative scenario.

Tom Watkins is a former Michigan State Superintendent of Schools and has worked for over a quarter of a century building cultural, educational and economic ties between our two countries.